Oil rises modestly in tight trade, boosted by OPEC hopes

Oil prices ended modestly higher on Thursday, as the market weighed swelling U.S. inventories against possible renewed efforts by major oil producers to reduce a price-sapping glut. Crude futures were initially bolstered after sources said the Organization of the Petroleum Exporting Countries (OPEC) may consider extending its oil supply-reduction pact with non-members and might even apply deeper cuts if global crude inventories failed to drop to a targeted level. Oil swayed between modest gains and losses throughout the session before rebounding late, and U.S. crude futures (CLc1) settled at $53.36 a barrel, up 25 cents. Brent crude (LCOc1) ended the day at $55.65 a barrel, down 10 cents. Prices have traded in a tight $5-range since OPEC and other exporters including Russia agreed last year to cut output by 1.8 million barrels per day (bpd) to reduce a price-sapping glut. The deal took effect on Jan. 1 and lasts six months. “I think that inside this little band we can expect a lot of choppy trading,” said Gene McGillian, manager of market research at Tradition Energy in Stamford, Connecticut. “I still think the forward expectations (for inventory drawdown) is what the market is focussed on.” OPEC’s supply pact could be extended by May if all major producers showed “effective cooperation”, an OPEC source told Reuters.

Oil rises modestly in tight trade, boosted by OPEC hopes

Oil prices ended modestly higher on Thursday, as the market weighed swelling U.S. inventories against possible renewed efforts by major oil producers to reduce a price-sapping glut. Crude futures were initially bolstered after sources said the Organization of the Petroleum Exporting Countries (OPEC) may consider extending its oil supply-reduction pact with non-members and might even apply deeper cuts if global crude inventories failed to drop to a targeted level. Oil swayed between modest gains and losses throughout the session before rebounding late, and U.S. crude futures (CLc1) settled at $53.36 a barrel, up 25 cents. Brent crude (LCOc1) ended the day at $55.65 a barrel, down 10 cents. Prices have traded in a tight $5-range since OPEC and other exporters including Russia agreed last year to cut output by 1.8 million barrels per day (bpd) to reduce a price-sapping glut. The deal took effect on Jan. 1 and lasts six months. “I think that inside this little band we can expect a lot of choppy trading,” said Gene McGillian, manager of market research at Tradition Energy in Stamford, Connecticut. “I still think the forward expectations (for inventory drawdown) is what the market is focussed on.” OPEC’s supply pact could be extended by May if all major producers showed “effective cooperation”, an OPEC source told Reuters.

Oil rises modestly in tight trade, boosted by OPEC hopes

Oil prices ended modestly higher on Thursday, as the market weighed swelling U.S. inventories against possible renewed efforts by major oil producers to reduce a price-sapping glut. Crude futures were initially bolstered after sources said the Organization of the Petroleum Exporting Countries (OPEC) may consider extending its oil supply-reduction pact with non-members and might even apply deeper cuts if global crude inventories failed to drop to a targeted level. Oil swayed between modest gains and losses throughout the session before rebounding late, and U.S. crude futures (CLc1) settled at $53.36 a barrel, up 25 cents. Brent crude (LCOc1) ended the day at $55.65 a barrel, down 10 cents. Prices have traded in a tight $5-range since OPEC and other exporters including Russia agreed last year to cut output by 1.8 million barrels per day (bpd) to reduce a price-sapping glut. The deal took effect on Jan. 1 and lasts six months. “I think that inside this little band we can expect a lot of choppy trading,” said Gene McGillian, manager of market research at Tradition Energy in Stamford, Connecticut. “I still think the forward expectations (for inventory drawdown) is what the market is focussed on.” OPEC’s supply pact could be extended by May if all major producers showed “effective cooperation”, an OPEC source told Reuters.

Oil rises modestly in tight trade, boosted by OPEC hopes

Oil rises modestly in tight trade, boosted by OPEC hopes

International News

Oil prices ended modestly higher on Thursday, as the market weighed swelling U.S. inventories against possible renewed efforts by major oil producers to reduce a price-sapping glut. Crude futures were initially bolstered after sources said the Organization of the Petroleum Exporting Countries (OPEC) may consider extending its oil supply-reduction pact with non-members and might even apply deeper cuts if global crude inventories failed to drop to a targeted level. Oil swayed between modest gains and losses throughout the session before rebounding late, and U.S. crude futures (CLc1) settled at $53.36 a barrel, up 25 cents. Brent crude (LCOc1) ended the day at $55.65 a barrel, down 10 cents. Prices have traded in a tight $5-range since OPEC and other exporters including Russia agreed last year to cut output by 1.8 million barrels per day (bpd) to reduce a price-sapping glut. The deal took effect on Jan. 1 and lasts six months. “I think that inside this little band we can expect a lot of choppy trading,” said Gene McGillian, manager of market research at Tradition Energy in Stamford, Connecticut. “I still think the forward expectations (for inventory drawdown) is what the market is focussed on.” OPEC’s supply pact could be extended by May if all major producers showed “effective cooperation”, an OPEC source told Reuters.